Disney Is Investing $60 Billion Into Its Parks and Cruises. Is That a Mistake?
Walt Disney (NYSE: DIS) has been struggling this year. Although its parks business has been strong, the streaming service Disney+ remains unprofitable, and the company's media assets aren't doing all that well, either.
The company looks as though it is attempting to focus on its core strength in its theme parks business. It recently announced plans for a sizable investment into that segment. But with so many other areas of concern, is this really a good move for the company?
Over the next decade, Disney is planning to spend a whopping $60 billion to help expand its strongest business unit -- parks and experiences -- which has grown at a rate of 17% over the past nine months, totaling $24.8 billion for the period ended July 1. The investment will go into upgrading and expanding its theme parks and cruise lines. With over 1,000 acres of land that it has the potential to develop, there is no shortage of opportunities for the business to create new and exciting experiences for its customers.
Source Fool.com
